Brisbane, April 26, 2016 AEST (ABN Newswire) - Fertoz Ltd (
ASX:FTZ) is pleased to announce that the Company's rock phosphate from its projects in British Columbia, Canada, has been certified for organic use in the USA and Canada. The Company's rock phosphate products are now certified for use in the production and/or processing of organic agriculture products in compliance with the requirements of the Canadian Organic Standards (COS) and the USDA National Organic Program.
Highlights:
- Fertoz rock phosphate now certified for use in organic plantations in Canada and USA
- Fertoz continues towards its target of selling 10,000 tonnes of product this year
- Currently in discussions with parties to sell additional rock phosphate to complement its already announced 2,000 tonne contracted sale
The certification allows Fertoz's rock phosphate to be labelled and marketed as an organic input fertilizer for use on organic farms, which will assist the Company with its marketing strategies. The Company is currently in discussions with a number of parties about the sale of its first batch of product which produced 990 tonnes of crushed rock phosphate (refer ASX announcement of 21 April 2016) and for Memorandum of Understanding's and Statements of Sales Intents for additional volumes of rock phosphate product. These efforts complement the 2,000 tonne contracted sale announced on 25 February 2016 and which is on track for supply in the third quarter of this year.
Managing Director Stephen Keith commented: "Organic certification of Fertoz's rock phosphate for use in Canada and the USA is a key milestone that the Company had stated it would achieve and has now delivered. The organic certification provides the Company with more sales and marketing options as it penetrates both organic and conventional farming markets in the US and Canada. We believe that the growing organic market, which has not been the focus of traditional fertilizer companies, requires a long-term provider of organic fertilizer inputs, and we are very pleased to be able to be that provider.
Having completed our first product crush and obtained certification as an organic input fertilizer, we are now in a position to sell more product in the market immediately and for the life of the mines."
According to Canada Organic Trade Association (COTA), there are approximately 5,000 certified organic farms in Canada. The United States Department of Agriculture (USDA) estimates that there are more than 13,000 organic farms in the United States. The North American organic food market has been growing at a rate of 10% per year (1998 to 2014) and it is expected to double its size by 2018, according to Organic Monitor, a marketing and information services company that specialises in the international organic food industry.
In order to retain organic certification for their properties, farmers cannot use chemically treated or enhanced fertilisers, such as Single Super Phosphate, DAP or MAP. Farmers with organic certification enjoy substantial premiums for their products.
About Fertoz Ltd
Fertoz (ASX:FTZ) is an Australian-based phosphate exploration and development company with a range of projects in British Columbia, Canada as well as Queensland and the Northern Territory. The Company is focused on becoming a fertiliser producer as quickly as possible, initially focusing on the Canadian/USA markets.
Fertoz plans to develop its exploration assets in Canada in order to identify any potential Direct Shipping Ore (DSO) projects. It intends to seek joint venture partners to assist in funding the exploration projects in Australia.
Phosphate is a commodity necessary for feeding the world, and Fertoz is ready to capitalise on this growing demand.
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